LET'S GET TOGETHER: Prime Minister Stephen Harper and Liberal Leader Michael Ignatieff had a "cordial and business-like"meeting in the prime minister's office to discuss next week's federalbudget. Ignatieff earlier indicated that the Liberals would support a"modest" deficit, but warned Harper that his party would not accept a budget packed with broad-based tax cutsthat could lead to a structural deficit. The prime minister appeared tolargely agree with the Liberal leader, telling a Halifax audience thathe was "on the same page" as the opposition when it came to long-term deficit plans.

KHADR ID'S ARAR: An FBI agent testifying at Omar Khadr's war crimes trial said that Khadr immediately identified Maher Arar by name as somebody he had seen at al-Qaida safehousesand possibly a terrorist training camp. Arar became a symbol ofpost-9/11 hysteria when he was detained at New York's JFK airportbefore being deported to Syria where he was tortured. Arar, who hassteadfastly maintained his innocence, was publicly cleared by theCanadian government and paid a settlement of more than $10 million.

PICKING UP THE PIECES: Uniformed Hamas security forces emerged onto Gaza City's streets as leaders of the group vowed to clean up the destruction left in the wake of nearly three weeks of pumelling by the Israeli military, and United NationsSecretary General Ban Ki-moon was due to arrive to inspect the damageinflicted on UN buildings shelled during the assault. Another UNofficial said that hundreds of millions of dollars in humanitarian aid would be required immediately to help Gaza's 1.4 million people.

THERE SHE IS: A German woman who was missing for 12 years was found living in a Swiss forestusing only an umbrella and tarpaulin for shelter. The woman told policethat she did not want to be contacted by her family and that she had amission to accomplish.

'GUNS AND BAYONETS': Warning that it does not engage in "empty talk," North Korea said it had guns and bayonets pointed at it southern neighbour,heightening tensions surrounding its threat to take military actionagainst what it calls South Korea's plan to invade, an accusation thatthe south denies.